This paper presents an advanced dynamic simulation model of a proton exchange membrane fuel cell for the optimal design of a fuel cell power conditioning system (FC-PCS). For the development of fuel cell models, the dynamic characteristics of the fuel cell are considered, including its static characteristics. Then, software fuel cell simulation is realized using Matlab-Simulink. Specifically, the design consideration of PCS (i.e., power semiconductor switch, capacitor, and inductor) is discussed by comparatively analyzing the developed simulator and ideal DC source. In addition, a cosimulation between the fuel cell model and PCS realized using the PSIM software is performed with the help of the SimCoupler module. Detailed analysis and informative simulation results are provided for the optimal design of fuel cell PCS.